A funny thing happened on the way to a lower low...
Europe momentarily suspended reality, dreamed of austerity, embraced calamity
and believed in unity.
Then they woke up.
From my perspective, the only thing keeping the US dollar from embarking on
an early 1980's moonshot - is our own political wranglings and posturing in
Congress.
I realize that may come as a surprise.
What will happen if we actually get off our fiscal road of perdition (or perhaps
just one wheel off for now) and onto a path of relative achievement and austerity?
I know - it's just a dream, but...
We might actually wake up and find that our own dilapidated fiscal house is
built on the right side of the tracks and in a neighborhood about to go through
a preliminary phase of gentrification. It won't be an easy path, and I do believe
we will soon find that lower low I have been searching for - and perhaps more
than we can comfortably chew for a spell.
But gentrification does not have to be a four letter word.
I always try to keep things in perspective. Here's a few charts that hopefully
does just that.
Although I am an active trader, I have always taken a broad perspective when
approaching the markets. I respect the Big Picture and attempt to place each
piece of information within its appropriate context and timeframe. I have found
that without this approach, there is very little understanding of ones expectations
in the market and an endless potential for risk.
I am not a stock picker - but trade the broader market itself in varying timeframes.
I want to know which way the prevailing wind is blowing, where the doldrums
can be expected and where the shoals will likely rise. I will not claim to
know which vessel is the fastest or most comfortable for passage - but I can
read the charts and know the risks.
I am not a salesperson for the market and its many wares. I observe it, contextualize
its moving parts - both visible and discrete - and interpret.
I practice Market Anthropology - Welcome to my notes.
Erik Swarts is not a registered investment advisor. Under no circumstances
should any content be used or interpreted as a recommendation for any investment,
trade or approach to the markets. Trading and investing can be hazardous to
your wealth. Any investment decisions must in all cases be made by the reader
or by his or her registered investment advisor. This is strictly for educational
and informational purposes only. All opinions expressed by Mr. Swarts are subject
to change without notice, and the reader should always obtain current information
and perform their own due diligence before making any investment or trading
decision.
Circle Us